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Showing posts with label landowner promoter. Show all posts
Showing posts with label landowner promoter. Show all posts

Monday, 28 September 2026

Where apartments are received as part of a development arrangement in consideration for transfer of development rights, the landowner may fall within the promoter framework rather than the allottee framework.

 

 Rubina Abdul Rauf Patel & Ors. v. Touchstone Builders and Developers

Forum: MahaRERA

Facts:
The complainants were landowners who transferred development rights to the respondent under an MOU dated 22 April 2019. In consideration, they were to receive four flats and two stilt parking spaces in the “DEEP PLANET” project. They claimed possession and compensation for delayed possession, contending that possession was due by 11 November 2023.

Issue:
Whether landowners who receive flats in consideration for transfer of development rights can claim the status of “allottees” under RERA and maintain a complaint for delayed possession.

Held:
MahaRERA held that the complainants were not “allottees”. Complainant No. 1 was shown as a landowner-promoter having an area share in the project. The transaction involved transfer of development rights rather than payment of monetary consideration for purchase of the apartments.

Ratio:
The definition of “allottee” cannot be applied mechanically to a landowner-promoter. Where apartments are received as part of a development arrangement in consideration for transfer of development rights, the landowner may fall within the promoter framework rather than the allottee framework.

Practical Impact:
Development agreements must be carefully examined before invoking Section 18 as an allottee. A landowner's contractual entitlement to flats does not automatically confer the statutory status of an allottee.

Relevant RERA Sections:
Section 2(d) — Allottee; Section 2(zk) — Promoter; Section 18 — Return/refund and interest.